Windows Authentication Modem is not accepting credentials

I have an ASP.NET website running Windows Authentication. The problem I'm running into is that I can't get past the transition from the login screen when submitting my credentials:

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I have the following settings in IE:

The Enable Integrated Windows Authentication check box is selected.

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The "Auto login with current username and password" radio button is selected.

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IIS initialization is set to "Windows Authentication":

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My web.config has:

<authentication mode="Windows" />
      <authorization>
         <deny users="?" />
      </authorization>

      

The provider for this authentication is "NTLM"

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AppPoolIdentity is set to "NetworkService"

I even gave "Full Rights" to the "Everyone" role on my site.

I have verified that the user I am trying to log in with exists in the Windows Active directory:

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To debug the cause, I attached the process to the source file and I noticed that I was able to reach Application_BeginRequest, but the breakpoints I added in the PreRequestHandlerExecute handler could not be reached can be thrown in between to re-enter the modal code.

Can you help me find the reason for the login scam by not accepting my credentials?

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